Before digging through ASBA/C-ASBA Charges of Nepali Banks and also that provide C-ASBA charge free banks in Nepal. You might already know that you can apply for IPO in Nepal by 2 methods.
One is currently popular through MeroShare Account (online) and another is the traditional method of filling forms through banks. Which is inconvenient in today’s time.
But whatever methods you choose you will need to pay a little bit extra amount to the bank as a fee for C-ASBA. The amount will differ depending on the bank.
Everything you need to know about CASBA Charge in Nepal 2022
ASBA stands for Application Supported by Blocked Amount, it basically is a process for applying to public/rights issues submitted by investors. ASBA automatically blocks the money from the investor’s bank account while subscribing to the issue. Easy words it holds your money within your account until the allotment date of IPO.
After Allotment, ASBA only deducts the amount that has been allotted for the investor and the rest of the amount is released as an unused balance in the bank account.
C-ASBA is a little bit more advanced form of ASBA, as it centralizes posting and verification of bank account numbers and DEMAT account numbers. This will help issue managers and share registrars monitoring double applications. Making their job easier to disqualify those who are applying for IPO using 2 different accounts.
ASBA/CASBA Charges of Nepali Commercial Banks in 2022
As you can see the charges varies and are different from bank to bank. Where Rs. 10 being the cheapest and Rs. 100 is the most expensive. IPO allocation is completely random and if you think paying a high price for casba will get you allocation then that is a complete waste.
Below are the charges Nepalese commercial banks take when you apply for IPO in Nepal.
| Banks | CASBA Charges |
|---|---|
| Bank of Kathmandu | Rs. 10 |
| Prabhu Bank | Rs. 10 |
| Nepal Bank | Rs. 10 |
| Siddhartha Bank | Rs. 10 |
| Sunrise Bank | Rs. 10 |
| Nepal Bangladesh Bank | Rs. 10 |
| Nepal Credit Commerce Bank | Rs. 10 |
| Prime Commercial Bank | Rs. 10 |
| Agricultural Development Bank | Rs. 10 |
| Global IME Bank | Rs. 15 |
| Civil Bank | Rs. 20 |
| Himalayan Bank | Rs. 20 |
| Everest Bank | Rs. 20 |
| NMB Bank | Rs. 20 |
| Nepal Investment Bank | Rs. 20 |
| Citizen Bank International | Rs. 20 |
| Kumari Bank | Rs. 20 |
| Sanima Bank | Rs. 20 |
| Laxmi Bank | Rs. 25 |
| Nepal SBI Bank | Rs. 25 |
| Century Commercial Bank | Rs. 25 |
| Standard Chartered Bank | Rs. 100 |
CASBA Charge of Development Bank & Finance in Nepal
| Banks | CASBA Charges |
|---|---|
| Lumbini Bikas Bank | Rs. 10 |
| Muktinath Bikas Bank | Rs. 10 |
| Mahalaxmi Bikas Bank | Rs. 10 |
| Kamana Sewa Bikas Bank | Rs. 20 |
| ICFC Finance | Rs. 25 |
CASBA charge Free Banks in Nepal 2022
If you have a DEMAT account with the Banks listed below then you will not get charged when you apply for IPO. Choosing a good bank is important as even if you are not allotted IPO then also banks will not refund your money to you.
The banks listed below provide ASBA charges for free.
| Banks | CASBA Charge |
|---|---|
| NIC Asia Bank | Free |
| Nabil Bank | Free |
| Mega Bank | Free |
| Rastriya Banijya Bank | Free |
| Garima Bikas Bank | Free |
Conclusion
In the end, people have their own choices and will pay even if there are financial institutions that offer free services. It is completely up to you which bank to choose based on your own research as Banks are not just for applying IPOs but for other services too.
Hope you get the best.
Frequently Asked Questions about CASBA
How do I fill C-ASBA Form?
You can visit your bank’s nearest branch and ask CASBA form and fill it out. Or just visit your bank’s website and download the form, fill it up and deposit it. Also usually, while opening Demat and Mero share accounts, the bank will give you a CASBA form to fill up. It is mandatory.
Can I fill C-ASBA form online?
No, you can download the form but eventually, you will need to visit your bank. Here is a sample of the C-ASBA Form. “NMB CASBA Form Online“
What is the full form of CRN?
CRN stands for CASBA Registration Number
How does CRN work?
CRN connects your Bank and Demat account number, Because of this banks can block the amount of money you have applied for Initial Public Offering. Also, every CRN number of every individual is unique.
How many banks are C-ASBA free in Nepal?
There are currently 5 banks that do not charge for C-ASBA.
Note: These amounts might change in near future and we have no control over this, please visit your respective Bank’s website for updated data. Also, suggestions are welcomed in the comment section. Thank You!
Sources: Different Banks, Social Media and Independent Research.
Thanks for the info.
I was confused which bank to choose for Demat account.